The move down in Asian markets may have been exaggerated by low volumes, said ETX Capital market strategist Ishaq Siddiqi, noting that the Chinese lunar new year likely distracted many traders.

World markets have been rattled in recent weeks by growing fragility in Turkey, India, Brazil, Indonesia and South Africa as the Fed rolls back the bond-buying program that has supported economic growth and flows of cash into emerging markets.

India and South Africa have also raised rates this week to stabilize shaky currencies. The Argentinian peso has been in free fall since Argentina's government moved to devalue the currency last week.

Is it game over for Nintendo?

Many emerging markets have benefited over the past few years as the Fed and other central banks have pumped money into the global economy.

But investors have been pulling out of emerging markets this year now that the Fed has begun to scale back its bond buying. The central bank said Wednesday that it would reduce its bond-buying program to $65 billion a month from $75 billion.

The bet is that higher rates in the U.S. and a stronger dollar will make emerging market investments far less attractive.